The Chartered Institute of Stockbrokers (CIS) has urged the Federal Government to embark on comprehensive reforms that would reposition Nigeria’s capital market as a central engine in driving the country’s $1 trillion economy ambition.

The call was contained in a communiqué issued after a one-day workshop held at the State House Conference Centre, Aso Rock Villa, Abuja, themed ‘Capital Formation in Nigeria: Empowering Industry, Institutions and Markets to Drive a $1 Trillion Economy’.

The forum, which attracted policymakers, market regulators, financial experts and industry leaders, sought to articulate actionable pathways towards achieving the government’s ambitious economic growth target.

In their position, the stockbrokers acknowledged that while the $1 trillion economy aspiration is attainable, it cannot be realised without deliberate and coordinated measures to strengthen capital formation across various sectors of the economy.

They stressed that Nigeria’s weak institutions, inconsistent policy frameworks and underdeveloped financial markets continued to undermine capital mobilisation despite the progress already recorded through certain government reforms.

The communiqué, jointly signed by the Institute’s 13th President and Chairman of Council, Oluropo Dada, and the Registrar/Chief Executive, Ayorinde Adeonipekun, underscored the urgent need for government-led strategic coordination to harmonise fiscal, trade and monetary policies.
According to them, only such a holistic approach will boost investor confidence, attract sustainable long-term capital and consolidate Nigeria’s position as an attractive investment destination.

The stockbrokers highlighted that the foreign direct investment (FDI) inflows remain volatile and far below potential due to persistent concerns over currency instability, regulatory unpredictability and infrastructural gaps.

The CIS also pointed out that domestic capital mobilisation through pensions, insurance and retail investors remain grossly underutilised, thereby limiting financing opportunities for industrialisation and inclusive growth.

They argued that Nigeria’s economy remains overly reliant on debt financing, while critical financing channels such as venture capital and private equity are still weakly developed. Yet, investor appetite for Nigerian assets is evident in the frequent oversubscription of government bonds.

To deepen the capital pool, they recommended unlocking the potential of the informal sector by integrating it into the formal economy and developing innovative financial instruments to harness the huge savings and remittances of the Nigerian diaspora.

The Institute also called for the consolidation of the foreign exchange market through transparent policies that enhance liquidity and provide foreign investors with seamless avenues to repatriate their capital.

Additionally, they emphasised the importance of leveraging Public-Private Partnerships (PPPs) to accelerate infrastructure development and the need for a national savings strategy to mobilise domestic resources for investment in technology, manufacturing, and other productive sectors.